Government Liable for $99 Million in Indemnification Under Government Contracts
Client Alert | 1 min read | 01.26.17
In Shell Oil Co. et al. v. U.S. (Jan. 6, 2017), the Court of Federal Claims held that the U.S. Government was liable for over $99 million in breach of contract damages when it “reneged on contractual promises” to indemnify several oil companies under a Taxes Clause for certain costs incurred as a result of environmental damage arising out of WWII-era contracts for the production of military aviation gas (see previous discussion here and here). The decision, which may encourage other contractors to pursue recovery under similar contract provisions such as “hold harmless” clauses in facilities contracts, and indemnification clauses authorized under Public Law 85-804, admonished the Government that the damages included “$30,991,111.02 in interest which the U.S. taxpayers could have avoided paying, if the Government had lived up to its obligations, instead of wasting years in litigation.”
Contacts
Insights
Client Alert | 5 min read | 08.26.26
D.C. Circuit Upholds Designation of PFOA and PFOS as CERCLA Hazardous Substances
In a significant and unanimous ruling, the D.C. Circuit upheld the Environmental Protection Agency’s (“EPA”) final rule designating perfluorooctanoic acid (“PFOA”) and perfluorooctanesulfonic acid (“PFOS”) as “hazardous substances” under the Comprehensive Environmental Response, Compensation, and Liability Act (“CERCLA”), denying the petitions of seven industry groups seeking to overturn that designation.[1] CERCLA, also known as the “Superfund Statute,” allows EPA to require potentially responsible parties to fund cleanup of hazardous substances.
Client Alert | 5 min read | 08.26.26
Client Alert | 6 min read | 08.26.26
The Risky Fifth: A Long Hot Summer in Congressional Jurisprudence
Client Alert | 4 min read | 08.25.26
DOJ Signals Increased Antitrust Scrutiny of Algorithmic Pricing in Willow Bridge Decision



